U.S. Attorney Preet Bharara, pictured here in a file photo, announced the arrests of an Edgewater man and Cliffside Park woman on wire fraud charges Thursday.File photo

NEW YORK CITY — A Cliffside Park woman and Edgewater man were among those charged with running a $2.5 million Ponzi scheme that promised investors large returns from diamonds and gold mined in West Africa.

Anne Thomas, 68, and Charles Huggins, 66, were each arrested on Thursday, according to a statement from Preet Bharara, U.S. Attorney for the Southern District of New York. A third accomplice, 43-year-old Christopher Butchko, was arrested in California.

According to complaints filed against the trio, they used a pair of New York-based firms - JYork Industries and Urogo Inc. - to convince investors to pour millions into an alleged mining business in Sierra Leone and Liberia.

However, the vast majority of the money allegedly was used to fund other ventures, such as a record label owned by Huggins and Butchko's petroleum company, as well as personal expenses like rent, restaurant bills and credit card payments.

Only a small portion of the money was ever sent to Africa, and only one investor has yet to receive a return equal or greater than his investment, the complaint states.

"The promise of riches mined in Africa was fool’s gold that these defendants allegedly dangled in front of investors in what was nothing more than a scam," Bharara said.

Thomas is also accused of wiring large amounts of money to the Bahamas in an effort to avoid reaching certain tax thresholds.

Huggins and Butchko are each charged with a single counts of wire fraud and conspiracy to commit wire fraud. Thomas is charged with conspiracy to commit wire fraud and money laundering.

If convicted, all three could face up to 20 years in prison and a hefty fine.